Visa and Mastercard oversee Binance compliance while more regulators scrutinize the crypto exchange – Bitcoin News

Payment giants Visa and Mastercard say they are overseeing Binance’s regulatory compliance developments as more and more regulators come after the global crypto exchange to operate in their countries without a permit.

Visa, Mastercard are overseeing Binance’s regulatory issues

Visa and Mastercard have not cut ties with the Binance cryptocurrency exchange despite increasing regulatory scrutiny. The two payment giants haven’t blocked Binance and cardholders can still use Visa and Mastercard to deposit funds into their accounts with the exchange.

Visa told the Financial Times on Friday that it was “informed of the latest FCA statement on Binance” and that it was in a “dialogue with Binance to monitor developments”. The Financial Conduct Authority (FCA) has warned Binance that the exchange is not authorized to engage in regulated activities in the UK

Mastercard said similarly to the publication:

We continue to monitor this situation as the exchanges meet their regulatory requirements.

Binance also offers a Visa branded debit card that allows its users to spend funds from their crypto wallets at retailers. The Binance card, which is available in many European countries, is issued by Contis, a company that offers payment services in the EU through an e-money license from the Lithuanian Central Bank.

A number of banks in the UK have stopped sending money to Binance following the FCA’s warning, including Barclays and Santander. Payment service providers Clear Junction and BCB Group have also reportedly ended their relationship with Binance. The exchange has disabled pound sterling withdrawals through Faster Payments and euro deposits through SEPA bank transfers.

Binance CEO Changpeng Zhao said in an open letter last week that the company “has grown very quickly and we haven’t always got it right.” Claiming that his exchange has already passed “multiple anti-money laundering external audits,” Zhao promised to take steps to improve compliance.

In addition to the UK, the Cayman Islands, Japan, Thailand, Italy and Lithuania are other countries that have issued warnings about Binance.

What do you think of Binance’s problems with a growing number of regulators? Let us know in the comment section below.

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